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TOPIC ,[object Object],[object Object]
AGENDA ,[object Object],[object Object],[object Object],[object Object],[object Object]
WHAT IS SIX SIGMA ? ,[object Object]
Six Sigma scale of Defects. Defects values in the above tables suggests that as sigma level goes up defect rate reduces which means product quality improves. 93.32 99.379 99.9767 99.999966 66,807 621 233 3.4 3 4 5 6 Product Optima (%) Defects  (per million) Sigma
Six Sigma Methodology ,[object Object],[object Object],[object Object]
Why companies Implement Six Sigma? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Different Six Sigma Belts
Can Six Sigma Fail ?  ,[object Object],[object Object],[object Object],[object Object],[object Object],YES
Example: Dabbawalas. “ IF  THE LOCAL TRAINS ARE THE LIFELINE OF THE CITY,DABBAWALAS ARE THE FOOD LINE.”
Why Six Sigma and not TQM? Driven internally  Focuses on outcomes  Fixes defects  Improves bottom line Customer Driven  Focuses on processes  Prevents defects  Improves overall efficiency  Six Sigma Total Quality  Management
Conclusion ,[object Object]
TOPIC ,[object Object],[object Object]
What is Altman Z –Score? ,[object Object],[object Object],[object Object]
Who will use it ? ,[object Object],[object Object],[object Object]
Data Required. ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Five Ratios. ,[object Object],[object Object],[object Object],[object Object],[object Object]
-4 to 8 1.4 R Earnings / Assets R. Earnings To Assets -4 to 8 1.2 Working capital /Assets Working Capital To Total Assets. -4 to 8 0.6 M.V Equity /Liabilities Equity To Debt Ratio -4 to 8 0.999 = 1 Sales/Assets Sales To Total Assets  -4 to 8 3.3 EBIT/Assets Return On Total Asset Weighted Ratio. Weight Factor Formula Ratio
Example – XYZ public co. LTD. ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Z-score  = 0.2261+0.1711+0.156+0.429+0.140 =  1.1762 Weight  Factor  Calculation FORMULA 0.140 0.1006* 1.4 2350/23350 Retained Earnings/Assets 0.483 0.402* 1.2 9400/23350 W. capital/Assets 0.156 0.26* 0.6 3900/15000 M.V of Equity/Liabilities 0.1711 0.171*  0.99 4000/23350 Sales /Assets 0.2261 0.068 * 3.3 1600/23350 EBIT/Assets
Interpretation of Z-Score. ,[object Object],[object Object],[object Object],[object Object],[object Object]
Z Score of Indian companies ,[object Object],[object Object],[object Object]
Points To Remember  ,[object Object],[object Object],[object Object],[object Object]
TOPIC   ,[object Object],[object Object]
What Does it mean? ,[object Object],[object Object]
Example of Virtuous Business Cycle.
Example Of Vicious Business Cycle
BIBLIOGRAPHY ,[object Object],[object Object],[object Object],[object Object]
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Six Sigma[1]

  • 1.
  • 2.
  • 3.
  • 4. Six Sigma scale of Defects. Defects values in the above tables suggests that as sigma level goes up defect rate reduces which means product quality improves. 93.32 99.379 99.9767 99.999966 66,807 621 233 3.4 3 4 5 6 Product Optima (%) Defects (per million) Sigma
  • 5.
  • 6.
  • 8.
  • 9. Example: Dabbawalas. “ IF THE LOCAL TRAINS ARE THE LIFELINE OF THE CITY,DABBAWALAS ARE THE FOOD LINE.”
  • 10. Why Six Sigma and not TQM? Driven internally Focuses on outcomes Fixes defects Improves bottom line Customer Driven Focuses on processes Prevents defects Improves overall efficiency Six Sigma Total Quality Management
  • 11.
  • 12.
  • 13.
  • 14.
  • 15.
  • 16.
  • 17. -4 to 8 1.4 R Earnings / Assets R. Earnings To Assets -4 to 8 1.2 Working capital /Assets Working Capital To Total Assets. -4 to 8 0.6 M.V Equity /Liabilities Equity To Debt Ratio -4 to 8 0.999 = 1 Sales/Assets Sales To Total Assets -4 to 8 3.3 EBIT/Assets Return On Total Asset Weighted Ratio. Weight Factor Formula Ratio
  • 18.
  • 19. Z-score = 0.2261+0.1711+0.156+0.429+0.140 = 1.1762 Weight Factor Calculation FORMULA 0.140 0.1006* 1.4 2350/23350 Retained Earnings/Assets 0.483 0.402* 1.2 9400/23350 W. capital/Assets 0.156 0.26* 0.6 3900/15000 M.V of Equity/Liabilities 0.1711 0.171* 0.99 4000/23350 Sales /Assets 0.2261 0.068 * 3.3 1600/23350 EBIT/Assets
  • 20.
  • 21.
  • 22.
  • 23.
  • 24.
  • 25. Example of Virtuous Business Cycle.
  • 26. Example Of Vicious Business Cycle
  • 27.